Seán Kyne (Galway West, Fine Gael)
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Question 172: To ask the Minister for Transport, Tourism and Sport if he will provide an update on the progress of the engagement with the private sector to co-fund and support a bicycle rental scheme for Galway; and if he will make a statement on the matter. [30032/12]

Alan Kelly (Tipperary North, Labour)
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I am committed to exploring a range of mechanisms to seek to secure public bicycle schemes in other cities, including Galway. Although a scheme in a city such as Galway is technically feasible, its commercial viability would require a collaborative approach with the private sector. Funding provision to meet the capital investment costs of a scheme has been identified within the five-year allocation for Smarter Travel and Carbon Reduction Measures Capital funding. However, operational funding is not available from within the constrained current funding allocation. My Department is exploring options to meet the operating costs of a scheme including a sponsorship deal which could prove to be very attractive for a private sector organisation. There is also potential for funding that could be unlocked by Galway City Council through the provision of additional advertising space in the city. However, the potential and extent of funding from advertising will require further examination. Optimal procurement approaches will be determined in the context of the best mechanisms to bridge the operational funding gap.